Bull vs bear market: what is the difference?
Bull and bear are labels for large moves in a broad market index — up or down by about 20%. Here is how the thresholds work and why a fall needs a bigger gain to recover.
Read the noteThe notes, page 4
Notes No. 031–040, in reading order.
What is a stablecoin, and how stable is it really?
Stablecoins are tokens built to stay at $1. Whether they do depends on the reserves behind them and on everyone trusting those reserves at the same time.
Read the noteBefore you invest: a step-by-step checklist for beginners
Most investing mistakes happen before the first purchase. This checklist covers what to have in place first, from emergency savings to checking who you are dealing with.
Read the noteWhat is the P/E ratio, and what can it tell you about a stock?
The P/E ratio tells you how many dollars investors pay for one dollar of a company's yearly earnings. Here is the arithmetic, a fair way to compare, and its blind spots.
Read the noteETF vs mutual fund: what actually differs, and does it matter?
ETFs and mutual funds are both pooled funds. The differences are in how you buy and sell, how the price is set, what trading costs and how taxes tend to work.
Read the noteWhat do bond credit ratings like AAA and BBB actually tell you?
AAA, BBB, BB: credit ratings sort bonds by how likely the issuer is to pay. Here is what the letters mean, where the investment-grade line sits and what ratings do not promise.
Read the noteWhat are risk tolerance and time horizon, and how do they work together?
Two questions shape almost every investing plan: how much loss can you live with, and when do you need the money? Here is how regulators define each, and why they have to be answered together.
Read the noteHow do you spot the red flags of investment fraud before you send money?
Promised high returns with little risk, pressure to act now and requests to pay in crypto or gift cards are classic warning signs. Here is how to check any offer step by step.
Read the noteWhat is the yield curve, and why do people watch it?
The yield curve lines up U.S. Treasury yields from one month to 30 years. Its slope says something about what markets expect — and its inversions have a famous, imperfect record.
Read the noteWhat are the real risks of investing in crypto?
Crypto prices can fall by most of their value, the companies that hold it can fail, and fraud losses run into billions a year. Here is each risk, sourced and explained.
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